Accounting

Who owns the books — the decision that comes first

Every company in IndustryMax is in one of two accounting modes, and this is the single most important thing to understand about the module.

MANAGED

The books live in IndustryMax. Documents post into its own journal, and its trial balance and financial statements are the ones that matter. This is the default.

TALLY

TallyPrime is the book of record. IndustryMax defers to it, and sends its documents across as Tally vouchers instead of posting them here.

The mode is held per company, not per customer — a group running two firms can keep one accountant in Tally and the other here. And it carries a date rather than being a switch, because an invoice dated March does not become Tally's because somebody flipped something in August. Ownership of a transaction follows the mode that was in force on that transaction's own date, and every switch is recorded as a dated change.

Chart of accounts

• A standard Indian chart can be seeded, or an existing TallyPrime chart imported — groups first, then an account for each nominal ledger, with a dry run to approve before anything is created.
• Accounts are edited and added as normal; control accounts are marked as such.
• Opening balances are entered against a cutover date, and documents dated before that cutover are refused rather than silently posted into a period the books do not own.

How an operational document becomes an accounting entry

This is the part that makes an ERP an ERP rather than two products in one login.

1. 1

   The document is saved

   A supplier bill is approved, an invoice is issued, a goods receipt is accepted.

2. 2

   An event is queued

   Inside the same transaction that saves the document, so a posting problem can never be the reason a document fails to save.

3. 3

   A posting rule is looked up

   Which account each side of this document type goes to. If a required account is not mapped, the posting refuses and names the one to set, rather than inventing a plausible account name and hoping.

4. 4

   A balanced entry is written

   Debits equal credits, compared in whole paise. An entry that does not balance is refused, not rounded.

Document types that can post: supplier bills, supplier payments, debit notes, purchase returns, sales invoices, sales receipts, credit notes, goods receipts, direct goods receipts, issues, dispatches, stock adjustments, production output and inter-company transfers.

Journals, and why they cannot be edited

• Manual journal and contra vouchers, with voucher types and voucher classes a customer can define.
• Recurring journals that run when due.
• A posted entry is never edited, here or anywhere. A correction is a reversing entry that stays visible forever. Indian statutory books require an audit trail that cannot be switched off, and an append-only journal is that artefact rather than a feature layered on top of one.
• Control accounts refuse hand-written journals. Their detail lives in a subledger the system maintains — the supplier ledger, the customer ledger, the bank reconciliation — and a manual entry against one is how a control balance stops agreeing with the thing it controls, discovered by an auditor months later.
• Accounting periods can be closed, and there is a limit on how far back a document may be dated.

Reports

• Trial balance, general ledger, group summary.
• Profit and loss, including a comparative view, and balance sheet.
• Cash flow, funds flow, cash and bank book, and ratios.
• Cost centres, a cost-centre tree and cost allocation.
• Budgets and budget control.
• Negative ledgers, and a reconciliation view.
• Drill-down from any figure to the entries behind it.
• Day book across every module, an edit log with verification, and scheduled reports.
• Bank reconciliation: upload a statement and match its lines to recorded payments on amount, date and reference.
• Fixed assets with a depreciation run that is calculated first and posted separately.

What this module does not do

• It does not file your GST returns. GSTR-1 and GSTR-3B generation is on the product plan and is not built. GSTR-2B can be imported and reconciled, and returns can be tracked, but nothing here files anything.
• It does not replace your auditor, and switching posting on is not the same as your books being correct. A wrong posting rule found in month six is six months of visible reversals.
• It does not consolidate two companies into one set of figures. Two legal persons added together is not a number anybody can file.

Questions

Related

• TallyHow documents reach Tally, what was measured on a real customer book, and the connector's network posture.
• GST & ComplianceGST invoicing with HSN and place-of-supply logic, e-invoice IRN registration with the signed QR printed on the invoice, e-way bill Part A and Part B, and GSTR-1, GSTR-3B and GSTR-2B reconciliation — what IndustryMax does, and where your own GSP credentials are required.
• Procure to PayHow procure-to-pay works in IndustryMax: indent, approval, RFQ, quotation comparison or reverse auction, purchase order, gate entry, store receiving, GRN, supplier bill and payment — and exactly which step moves stock and which creates money owed.
• Multi-company & LocationsHow IndustryMax models a group: one account, several legal companies each with their own GSTIN and books, divisions under them, a tree of stock locations, and financial years — with one login that switches between the companies a user may see.